Odd Lot - Definition

In Investment terminology having the quality of holding less than 100 shares of a stock, or less than 10 shares of a very thinly traded stock. Also known as broken lot or uneven lot. Opposite of Round Lot. Some brokerages charge higher commissions for such transactions (often 1/8 of a point per share, the fee is usually called the differential.). Many private investors cannot afford, or do not wish to invest in, a full round lot, so they typically choose to make smaller trades. These lots may also be called broken lots or uneven lots. Computer-based trading often makes small exchanges as simple as large ones, so the fee may be unnecessary.

Terms near "Odd Lot"

Odd lot buy/sell ratio
Odd lotter
Odd-days interest
Odd-lot buyback
Odd-lot dealer
Odd-lot resale
Odd-lot short-sale ratio
Odd-lot theory
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